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Continuous Improvement: What is Kaizen?

28th January 2015

Kaizen, or 'Continuous Improvement' is
a policy of constantly introducing small incremental changes in a business in
order to improve quality and/or efficiency. This approach assumes that
employees are the best people to identify room for improvement, since they see
the processes in action all the time. A firm that uses this approach therefore
has to have a culture that encourages and rewards employees for their
contribution to the process.

Kaizen
can operate at the level of an individual, or through Kaizen Groups or Quality
Circles which are groups specifically brought together to identify
potential improvements. This approach would also be compatible with Team
working or Cell Production, as improvements could form an
important part of the team's aims.

Key
features of Kaizen:

Improvements
are based on many, small changes rather than the radical changes that
might arise from Research and Development

As the
ideas come from the workers themselves, they are less likely to be
radically different, and therefore easier to implement

Small
improvements are less likely to require major capital investment than
major process changes

The
ideas come from the talents of the existing workforce, as opposed to using
R&D, consultants or equipment - any of which could be very expensive

All
employees should continually be seeking ways to improve their own
performance

It
helps encourage workers to take ownership for their work, and can help
reinforce team working, thereby improving worker motivation

As
Kaizen is characterised by many, small improvements over time, it contrasts
with the major leaps seen in industry when radical new technology or production
methods have been introduced. Over the years, the sheer volume of Kaizen
improvements can lead to major advances for a firm, but managers cannot afford
to overlook the need for radical change from time to time. For example, many UK
manufacturers and service companies have found it necessary to outsource
processes to cheaper centres such as India and China - these changes would be
unlikely to arise from Kaizen.

Whilst
staff suggestions can help to enrich the work for many employees, Kaizen can be
seen as an unrelenting process. Some firms set targets for individuals or for
teams to come up with a minimum number of ideas in a period of time. Employees
can find this to be an unwelcome pressure, as it becomes increasingly difficult
to find further scope for improvement. Some firms, especially Japanese-owned,
conduct quality improvement sessions in the workers' own time, which can lead
to resentment unless there is appropriate recognition and reward for
suggestions.

For
Kaizen to be effective there has to be a culture of trust between staff and
managers, supported by a democratic structure and a Theory Y view of employees.
Good two-way communications and a de-layered organisation would also support
this approach. Nevertheless, some workers might see the demands as an extra
burden rather than an opportunity and it can take time to embed Kaizen
successfully into an organisation's culture.